Lagos, Nigeria. January 7, 2016 – IFC,
a member of the World Bank Group; together with IFHA-II Cooperatief, a
private equity fund focused on investing in the healthcare sector in Sub-Saharan
Africa; Swiss Re, the reinsurance company; and CIEL Healthcare Africa Limited,
a pan-African healthcare company, today announced an investment of $66.8
million in Hygeia Nigeria Limited, Nigeria’s leading private healthcare
company.
The new investment aims to improve healthcare infrastructure and increase
access to quality healthcare services in Nigeria. In addition to providing
capital, the partnership will increase and broaden the technical expertise
at Hygeia and ensure global best practices through the involvement of Ciel
Healthcare Africa. Ciel is working in association with Fortis, a leading
integrated healthcare delivery service provider in India. Through this
project, Hygeia will have the capacity to reach more than two million patients
over the seven-year investment period.
Fola Laoye, Chairperson of the Board of Hygeia Nigeria Limited, said, “As
Nigeria’s foremost and leading private integrated healthcare services
provider, Hygeia is consistently seeking ways to improve and expand our
offerings so that we can offer more Nigerians world class services at affordable
ratesand
help to reverse the growing trend to travel abroad for care. IFC and IFHA,
our long term partners, are working with us to achieve our aim of closing
the gap of quality healthcare service delivery in Nigeria. We are excited
to bring on board reputable new partners like Swiss Re and Ciel Healthcare
Africa. We thank the Satya team for their support and commitment during
a very important time of development for Hygeia.”
Hygeia, operates a network of two hospitals and three clinics under the
Lagoon Hospitals brand and a health maintenance organization, Hygeia HMO.
It is expanding its operations by upgrading and increasing capacity at
existing hospitals, including its management information system, and creating
a new tertiary care hospital. The investment will allow Hygeia to expand
its service offering in healthcare services and the HMO to allow greater
access to quality healthcare in Nigeria.
Eme Essien, IFC Country Manager for Nigeria said, “IFC is committed to
financing integrated healthcare networks to help increase access to quality
healthcare. More people will get better access to quality and cost effective
healthcare in Nigeria.”
“IFHA-II believes that we have a strong consortium of partners in place
to help realize growth at Hygeia. Nigeria is a key market for IFHA-II and
through our investment in Hygeia we will be able to expand access to quality
healthcare across the country.” said Max Coppoolse, the Managing Partner
of IFHA-II.
Hygeia HMO aims to consolidate its leadership position with its investment
in world class information technology infrastructure that automates processes,
ensures operational efficiencies and improves customer interface.
“Satya is proud of the role it has played in Hygeia’s growth and the
value it has helped create. We would like to thank our partners the Elebute
Family and the entire Hygeia team for their dedication and hard work over
the last six years. It has been a privilege to support their efforts to
offer world class healthcare in Nigeria.” said Moez Daya, Managing Partner
of Satya Capital.
“We wish the management and employees of Hygeia all the best as they
continue on their journey to redefine Healthcare in Nigeria. This transaction
is the culmination of many years of hard work, of which they should be
justly proud” added Jide Olanrewaju, who led Satya’s investment in
Hygeia.
About IFC
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in emerging markets. Working
with more than 2,000 businesses worldwide, we use our capital, expertise,
and influence, to create opportunity where it’s needed most. In FY15,
our long-term investments in developing countries rose to nearly $18 billion,
helping the private sector play an essential role in the global effort
to end extreme poverty and boost shared prosperity. For more information,
visit www.ifc.org
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About Hygeia Nigeria Limited
Hygeia is an integrated healthcare delivery system which was founded in
1984 by Professor & Professor (Mrs) Elebute, a husband and wife team
of physicians with over 50 collective years of medical experience at the
time. The company’s operating units are Lagoon Hospitals, which began
operations in 1986 as Lagoon Hospital Apapa, a multi‐specialist tertiary
hospital facility in Lagos and later established additional hospitals at
Ikeja and Victoria Island, which offer primary and secondary healthcare
services respectively and Hygeia HMO, a health maintenance organization
which provides health cover for companies and individuals throughout the
country working with a network of 456 clinics and hospitals. It has also
founded two not-for-profit organizations - Hygeia Community Health Plan,
a subsidized health insurance scheme for low‐income communities, supported
by the Dutch Health Insurance Fund and Hygeia Foundation which focuses
on capacity building for healthcare professionals and which is one of the
few private sector partners of the Global Fund for HIV/AIDS in Nigeria.
Hygeia has been at the forefront of healthcare in Nigeria and Lagoon Hospitals
was the first hospital operator in Sub-Saharan Africa to receive international
accreditation from Joint Commission International (JCI) and remains one
of only two hospital groups in Sub-Saharan Africa with this accreditation.
Lagoon Hospitals has also pioneered the provision of a number of specialties,
hitherto confined to a few government owned teaching hospitals. In June
2013, Lagoon Hospitals became the first hospital in Africa to successfully
execute the metallic replacement of a whole arm (bone and joints). Hygeia
HMO was the first health maintenance organization to be accredited by the
National Health Insurance Scheme (NHIS) in 2005.www.hygeiagroup.com
About Satya Capital
Satya Capital is an independent investment firm focused on providing long-term
growth capital to African businesses. The firm partners with entrepreneurs
to build world-class companies with regional and pan-regional scope and
has the flexibility to back investee companies during all stages of development
– from expansion to post-IPO—as its permanent capital base enables it
to hold investments without a fixed exit horizon. Satya invests in Africa
through two channels; firstly in platforms with a view to creating evergreen
holdings in its core sectors, and secondly, Satya invests in growth equity
in partnership with TPG. Satya targets investments of between $20 million
and $150 million and invests in a broad range of sectors including: Consumer
& Retail, Healthcare, TMT and Financial Services. The Satya team has
a rich mix of financial, strategic and investment experience, as well as
valuable direct operating experience, most notably through the establishment
and growth of Celtel, a pan-African mobile operator.www.satyacapital.com
About IFHA-II
IFHA II is a successor fund of the Investment Fund for Health in Africa
(IFHA), a Private Equity (PE) fund that invests in Small and Medium Enterprises
(SMEs) in the healthcare sector in Africa. IFHA-II focuses its investments
across various healthcare sectors including healthcare provision, health
insurance, health management organizations, administration providers, purchasing
companies, medical asset financing, pharmaceutical production and distribution
and medical education. After seven years of operations, the fund manager
builds on its strong network and a solid track record of results from its
first round investees, which include four successful exits. The current
aggregate fund size is $193 million. The funds will expand to an investment
size of circa $210 million.
About CIEL Healthcare Limited
CIEL Healthcare Limited (“CHL”) is a Mauritian registered private limited
company, with a prime objective to own, operate and manage assets in the
healthcare sector in Mauritius and across Sub-Saharan Africa. CHL currently
holds investments in The Medical and Surgical Centre Limited (MSCL), which
owns ‘Fortis Clinique Darné, the leading private hospital in Mauritius,
The International Medical Group (IMG), largest provider of private healthcare
services in Uganda, The Laboratoire International de Bio Analyses Ltée
(‘LIBA’), and CIEL Healthcare Africa Limited (operating as ‘CIEL
Healthcare Africa’).
About Swiss Re
The Swiss Re Group is a leading wholesale provider of reinsurance, insurance
and other insurance-based forms of risk transfer. Dealing direct and working
through brokers, its global client base consists of insurance companies,
mid-to-large-sized corporations and public sector clients. From standard
products to tailor-made coverage across all lines of business, Swiss Re
deploys its capital strength, expertise and innovation power to enable
the risk-taking upon which enterprise and progress in society depend. Founded
in Zurich, Switzerland, in 1863, Swiss Re serves clients through a network
of around 70 offices globally and is rated "AA-" by Standard
& Poor's, "Aa3" by Moody's and "A+" by A.M. Best.
Registered shares in the Swiss Re Group holding company, Swiss Re Ltd,
are listed in accordance with the International Reporting Standard on the
SIX Swiss Exchange and trade under the symbol SREN. For more information
about Swiss Re Group, please visit: www.swissre.com
or follow us on Twitter @SwissRe